Catalyst Business Energy Market Brief August 2015
Market Leading Business
Energy Consultants
Your Trusted Commercial Energy Partners
 
Energy Market ReportsCatalyst Business Energy Market Brief August 2015

Catalyst Business Energy Market Brief August 2015

Chris Hurcombe

by Chris Hurcombe 01 August 2015

Report Summary:

Gas and power contracts continue to fall

Gas and power contracts continue to fall

key-market-indicators

Annual power and gas contracts fell further in July, reaching record lows. Worries over winter gas storage levels were offset by decreasing oil prices, a stronger pound against the euro, and news that an additional 15bcf of gas storage capacity had been approved at the Rough facility.

Annual October 15 gas fell 2.7% to average 44.7p/th. The winter 15 gas contract dropped 2.3% to 47.0p/th, and reached a low of 45.8p/th on 23 July – the lowest winter contract price since 2010. Power contracts followed gas prices lower, with the winter 15 contract down 1% to average £45.4/MWh.

Prompt power and gas contracts rose until mid-July as a consequence of outages at Norway’s Troll gas field, the largest in Europe, and the St Fergus import terminal. Day-ahead gas averaged 43.6p/th, 0.3% higher than in June. The day-ahead power contract averaged £42.3/MWh, a 1.5% rise from June.